B&N NORDSJOFRAKT TERMINATES BULK AND RO/RO ACTIVITIES

B&N NORDSJOFRAKT TERMINATES BULK AND RO/RO ACTIVITIES

   B&N Nordsj'frakt AB, a Scandinavian shipping group, has decided to terminate its unprofitable bulk shipping and roll-on/roll-off operations.

   The company will now focus on its transatlantic multipurpose shipping services and specialized offshore and ice-breaking activities.

   B&N Nordsj'frakt reported a group net deficit of 4 million Swedish krona ($400,000) for the first nine months of the year. Bulk shipping and roll-on/roll-off operations incurred losses of SEK24 million ($3 million) during the same period.

   B&N Nordsj'frakt will sell between 8 and 10 vessels and reduce personnel by approximately 130 people, as part of the business withdrawal. The divestment of these vessels and operations will result in a charge to 2002 earnings of between SEK10 million ($1 million) and SEK20 million ($2 million).

   The ro/ro business comprises vessels employed on a time-charter basis, for which B&N is both owner and operator. Two vessels were not able to find new employment during the third quarter.

   The bulk/general cargo business includes mainly shipping services on Atlantic and northern European routes.

   “For transatlantic services, an extensive shipbuilding program is in progress, involving RoLo and multipurpose/LoLo ships,” the company said. The ships carry paper, solid-wood products and other cargoes.